Is it competitive? And if so do you need to lose those 7 points you are over by?

In 500 points competitive, though it sounds a bit harsh, I would put in a hydra, not the black guard. Change the corsairs to warriors to free up some points, even drop the command. Put the Noble on a dark steed and give him lifetaker instead of crimson death. Should be around 500 points at end, improvise if needed

Personally I would go with the first list. Magic makes up its point cost very easy in low point games, level 2 with 5 power dices is quite devasting as well as a hydra. Combinend with 10 Xbows you got one of the dirtiest low budget lists availible.

The Second list is quite funny because most opponents can´t handle a flying creature in 500 point games. Quite devasting as well, but watch out, most opponents take a warmachine like cannons or boltthrowers, so you have to be a bit careful of shooting. But when you reach combat, battle is over.

Personally I would go with the first list. Magic makes up its point cost very easy in low point games, level 2 with 5 power dices is quite devasting as well as a hydra. Combinend with 10 Xbows you got one of the dirtiest low budget lists availible.

The Second list is quite funny because most opponents can´t handle a flying creature in 500 point games. Quite devasting as well, but watch out, most opponents take a warmachine like cannons or boltthrowers, so you have to be a bit careful of shooting. But when you reach combat, battle is over.

First list breaks the rules because the sorceress is more than 125 pts which is the limit for your SINGLE hero choice at 500 pts. Which brings me on to the second list with the manticore which takes up an additional hero choice and again far exceeds the 125 pt limit. Both are cheesy lists at this points cost anyway so i don't know why anyone would want to play against them. I also read somewhere that monsters are banned at 500 pts but i'm not sure. That would eliminate the hydra for all those people who said take one. I wouldn't anyway because i like having friends

I dont think there are any official rules for playing at 500pts, but the game has been designed for considerably larger battles. There are the rules for border patrol and they are there to allow for a more balanced game at 500pts but you dont have to use them, probably advisable to do so though if you want really get something from the game though. If you use a manticore or a hydra in 500pts its very 'point and click' army and i dont think you will learn much from playing smaller games.

For your list i'd recommend taking a bigger stronger unit of infantry, like 20 spearmen or corsairs instead of the smaller units of 10.